By Adolfo Figueroa
Centuries of monetary development have proven that the capitalist approach is
technologically very revolutionary; socially, even if, it's not so. Inequality is one in every of the
persistent beneficial properties of global capitalism. Why does the capitalist approach function in this
The present paradigm in economics has made major development in explaining
capitalism; even though, there are a few evidence that the paradigm can't clarify, because it will be
shown during this e-book. the present paradigm may be outlined because the rules that are
contained within the collage textbooks which are utilized in economics classes round the
world; therefore, its impact on public rules is gigantic. these ideas are
based on neoclassical and Keynesian fiscal theories, one for the longer term and the
other for the quick run research of capitalism. either theories could be referred to as standard
economics during this book.
This ebook provides a brand new financial concept of the capitalist approach. This new
theory might be in a position to clarify the evidence that ordinary monetary may also clarify; yet it
will additionally clarify these proof that normal economics cannot.
In order to introduce the reader to this new view steadily, the principles of
the new concept should be provided step-by-step during this advent. This creation may
then be obvious because the synopsis of a play in regards to the nature of social family members in a capitalist
society, with a view to then be constructed totally within the book.
Adolfo Figueroa, a Peruvian economist …has written a breathtakingly bold book.
Physics remains to be suffering to combine in one unified idea the insights of general
relativity and quantum idea. Figueroa goals not just to construct partial versions able of
explaining various components of the capitalist approach, but additionally a unified version from which
each of those certain circumstances might be derived. The reader must be very
blinkered to not agree that Figueroa is directly to anything vital. Figueroa merits to
be learn, and in a great global this ebook may turn into required analyzing for economics
students in the course of the global.
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Additional resources for A Unified Theory of Capitalist Development (Enlarged and Revised Edition)
If statistical analysis shows consistency between beta propositions—including type (a) and type (b)—and empirical data, the abstract society constructed by the theory is a good approximation of the real world society; otherwise the model fails. If all models fail, then the theory fails, as shown above. The study of capitalism that we are going to carry out in this book will utilize the alpha-beta method, which is a particular method of Popperian epistemology, as shown above. Therefore, we have established the rules of scientific knowledge that we are going to apply for rejecting or accepting economic theories that seek to explain capitalism.
The degree of income inequality between individuals will be measured by the Gini index, which varies between zero and one. The value of zero indicates perfect equality in the distribution of income, whereas the value of one indicates perfect inequality (all income concentrated in the hands of one individual). Certainly, the empirical Gini index can hardly reach the value of zero or one. 20. Therefore, the use of the terms ―low-inequality‖ and ―high-inequality‖ societies in this book will be in reference to these actual extreme values.
The observable conditions will therefore be logically derived from the model of a theory and will take the form of an empirical prediction of the model. For simplicity, we could call it beta proposition as well, although it does not refer to causality relations in this case. 36 In the economic process, the notion of equilibrium may refer to a static process or a dynamic process. In the first case, the model assumes that the relationships among endogenous variables are contemporaneous, whereas in the dynamic process some or all are inter-temporal.